Zhongyu Residential and Bauhinia reached a strategic cooperation to seize the prefabricated interior market

On January 11, 2021, Bauhinia New Materials Group and Shanghai Zhongyu Residential Technology Group held a strategic cooperation signing ceremony at the Shanghai Zhongyu Operation Headquarters Base. Wu Tangxiang, CEO of Shanghai Zhongyu Residential Technology Group, said that in the future, the two parties will carry out in-depth cooperation in various aspects such as the research and development of prefabricated interior innovative products, the production and supply of prefabricated interior parts, and the resource sharing of prefabricated interior projects.

Shanghai Zhongyu Residential Technology Group was established in 2018. It is a service provider engaged in prefabricated parts and components systems. Since its establishment, it has developed rapidly in the two channels of engineering and retail. It has multiple brands such as Zhongyu and Zhongyu Assembly. Bauhinia New Materials Group is affiliated to the Hong Kong listed company Yip's Chemical Group and has been deeply involved in the Chinese coating industry for nearly 40 years. It is involved in the diversified coating business of home improvement, engineering, furniture, toys and anti-corrosion industry, and has three brands including "Bauhinia Paint", "Hengchang Paint" and "Dachang Resin".

After Zhongyu Residential Co., Ltd. has joined hands with Bauhinia, it may accelerate its occupation of the prefabricated interior market. According to the calculation of the in-depth research report on the prefabricated decoration industry released by Xingzheng Research, the prefabricated decoration market will reach 632.7 billion yuan in 2025, with an annual compound growth rate of 38.26%.

Zhang Yikang, vice president of Bauhinia New Materials Group, said, "The strategic cooperation between Bauhinia and Zhongyu reflects the bold innovation of the two companies in the development of new prefabricated interior materials, and also contributes a solid force to the lean development of the prefabricated interior industry."

Previously, on August 6, 2020, Zhongyu Residential received 50 million yuan in A+ round financing from Oasis Capital. The financing funds will be used to further expand the market scale of Zhongyu Residential. Expand the Zhongyu Assembly Interior Research Institute and focus on studying how to transform the best performance building materials from traditional building materials to prefabricated parts.